When you are planning for moving to the US then certainly you must be thinking about the cities to live in. If you are considering the states like Arizona or California for living and getting confused then you will get some better insight into the cost of living in Arizona vs California. As the cost of living, housing, and several other aspects are some of the important deciding factors for moving to any place, it is important to know about them.

The cost of living in Arizona is certainly lesser when compared to California state. Both Arizona and California have fantastic places in the US. Now, it depends on the purpose of living in a place where a lot of cost of living matters. To make your decision easier, we provide some detailed information about the cost of living in Arizona vs California. 

Housing Market Comparison in Arizona vs California

One of the biggest factors to consider regarding the cost while moving to a place is the housing market there. In Arizona, the median home price is around is $350,000. In California, the median home price is around $700,000. It can be understood that the average housing prices of Arizona State are far lesser compared to California. However, as per the cities or location, the housing rates will vary considerably.

Arizona vs california housing

In recent years, there has been an increase in the housing rates of Arizona state. As mortgage rates are lower in Arizona state, it is easier to buy a house here. The housing rates of California are higher due to the different amenities available and the development done here. 

Housing Market in Arizona vs California 

Here, you will find the housing rates as per the different cities in these states.

Below Table shows the comparison of the housing market in Arizona vs California:

(Data as per source – https://upgradedhome.com/cost-of-living-in-arizona-vs-california/)

City Median Home Price
Los Angeles, CA$883,400
San Francisco, CA$1,471,200
San Diego, CA$812,100
Phoenix, AZ$346,100
Tucson, AZ$271,800
Scottsdale, AZ$673,400

From the above data, it is clear that the cost of living in Arizona is lesser than that of California.

Are houses in Arizona cheaper than in California?

Yes. The cost of living in Arizona is cheaper than California. Most of the cities in Arizona has lesser cost than that California.

Is the housing market good in Arizona?

Yes. The housing market in Arizona state is very good. The prices here are lesser compared to California and several other states.

Grocery Expenses in Arizona And California

Food is one of the primary requirements for any human, so while moving to any other place the grocery expenses consideration is important. If you are considering the cost of groceries in Arizona and California, then you can experience around 15% lesser grocery cost in Arizona. This brings down the cost of living in Arizona to a considerable extent. 


If we consider the national grocery cost as 100 then, the grocery cost index of California is a little higher than the national average of around 105. While the grocery cost index of Arizona is 95 than the national average. With a drastic difference in the grocery cost between the two states, you can reduce your overall cost to a great extent.

Grocery Comparison in Arizona vs. California (Daily Use Food Items) 

The below table will show a few groceries along with their cost. This will give a better view of the cost difference between Arizona and California.

Food ItemArizonaCalifornia
Gallon of milk$2.76$3.74
Bread (one loaf)$2.48$3.30
Local cheese (8 oz)$5.56$6.58
Apples (1 lb.)$1.62$1.99
Tomatoes (1 lb.)$1.62$2.08

The above table clearly reflects the difference between the costs of some of the basic food items here. This makes Arizona a very affordable state to live.

Are groceries cheaper in Arizona or California?

The grocery cost is cheaper in Arizona when compared to California state. The cost of all the basic food items in Arizona has lesser cost than in California.

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Utilities Expenses in Arizona vs. California

While considering the expenses when moving to a different place, it is important to consider the basic utility costs. These utility costs are needed on the regular basis by any individual. These costs will increase as per the consumption of these utilities.


If we consider the utilities cost of Arizona and California then the cost of Arizona is found to be far lesser than California. The Arizona taxes compared to California being lesser is one of the important factors for the utilities cost being lesser in Arizona. 

Utilities Comparison in Arizona vs. California 

The below utilities costs comparison between Arizona and California will give a better idea about the difference in the cost. 

(Data as per – https://www.mylifeelsewhere.com/cost-of-living/california-usa/arizona-usa & https://www.mylifeelsewhere.com/cost-of-living/california-usa/arizona-usa)

Regular jeans$46.43$40.87
Regular dress$38.84$34.31
Running shoes$77.14$74.40
Gasoline (1 liter)$0.92$0.72
Monthly public transit pass$67.11$57.40
Cappuccino in mid-range area$4.39$4.57

The above data shows a wide difference between the cost of the utilities between the state of Arizona and California. 

Are utilities High in Arizona?

Compared to the state of California and a few other states, the cost of utilities in Arizona is not high. Arizona has very lesser utility costs which can make it affordable to live comfortably. 

Taxes System in California VS Arizona

Tax is an important factor for any resident of the US. Although some parts of Arizona State is covered with the desert, its low taxes attract many people here. One of the important factors that are affected by the taxes is cost to build a house in Arizona. You need to check out the different tax-related differences in Arizona and California state. 

Tax System

Different types of taxes:

The different types of taxes applicable in the state are:

1. State Income Tax:

The state income tax of Arizona state has four tax brackets. The range of the state income tax in Arizona State varies from 2.59% to as much as 4.50%. While the range for the state income tax in California has 10 income brackets. This clearly implies that the state income tax of Arizona is lesser than that of California. 

2. Sales Tax:

In Arizona State, the statewide sales tax is 5.6% and the local taxes have an average of about 8.4%. While the sales tax of California State is higher than that of Arizona State. The local taxes in different regions of the state are also found higher. Only a few counties in the state have lesser sales tax rates.

3. Property Tax

The average tax rate in Arizona state is around 0.62%. This rate will vary from one county to another and from one state to another. It would be interesting to look in more detail about the property tax Arizona vs California. The property taxes in the states keep changing.

Taxes in Arizona vs. California 

The tax rates in the below table for the two states can give a better idea about the taxes in both states. It will give a brief overview of the Arizona taxes compared to California.

(Data as per the source – https://upgradedhome.com/cost-of-living-in-arizona-vs-california/)

StateIncome Tax Sales TaxProperty Tax
Arizona2.59% – 4.50%5.60% – 11.20%0.62%
California1% – 13.3%7.25% – 10.50%0.73%

The above comparison clearly shows that the taxes in Arizona are comparatively lower than that of California state.

Are taxes cheaper in Arizona?

Yes. The taxes in Arizona are cheaper compared to the other states. The state income tax, sales tax, and property taxes are lower than that of California state.

Is Arizona a tax-free state?

No. Arizona is not a tax-free state. However, it has lower taxes when compared to the other states in the US.

Healthcare Expenses in Arizona vs California

The healthcare system is a very important aspect to consider while moving to any place. When comparing the healthcare expenses of Arizona and California state, Arizona is found to be cheaper in terms of healthcare expenses. Both public and private hospitals are there for providing healthcare. You can get treatment for most of the health problems in both states. You can find some of the reputable hospitals in the cities of these two states. Health insurance is necessary here where they can either get public health insurance or private health insurance. 


 Healthcare Expenses in Arizona vs. California 

The below table will give a better insight into the healthcare system in both states. The data will, particularly about important cities of both the states.

(Data as per the source – https://www.bestplaces.net/compare-cities/los_angeles_ca/phoenix_az/health)

FactorsLos Angeles, CaliforniaPhoenix, ArizonaUnited States
Air Quality (100=best)35.545.558.4
Water Quality (100=best)526555
Superfund Sites (100=best)9595.586.9
Physicians per Cap.211201210
Health Cost8992100

The above data clearly shows the cost of Arizona is lesser overall compared to California state. So, if you have a question: is it expensive to live in Arizona? It is affordable to live in Arizona state.

Is healthcare cheaper in Arizona than in California?

Yes. Healthcare is cheaper in Arizona state than in California. There are several hospitals and clinic in Arizona which has a comparatively lesser cost.

Is medical insurance cheaper in Arizona than in California?

Yes. Medical insurance is cheaper in Arizona than in California State. Both public, as well as private companies, provide the necessary medical insurance.


The above information gives a better insight into the cost of living in both states. While you have a plan to relocate to Arizona, it will be easier to build a house here as the cost to build a house in Arizona is lower comparatively. While making the decision to move to either of the states, it is important to consider your priorities properly. The Arizona taxes compared to California is lesser which makes it cheaper to live in Arizona state.

If you are an expat and the cost of living is a priority for you while moving here, then Arizona must be a better choice for you. The cost of living in Arizona vs California gives detailed information about the costs incurred in the different aspects. So, set your priorities to make the decision to move to the desired location to have a comfortable living.

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